SIRC 2026: Singapore industry group forms US$200m data centres insurance facility

November 2 2026 by

An industry consortium has joined forces to launch a US$200 million Singapore-based insurance facility for data centres, Hong Tat Chee, Singapore’s minister for national development and deputy chairman of the Monetary Authority of Singapore, told delegates at the Singapore International Reinsurance Conference on Monday.

Chee said that the consortium brings together underwriting capacity and specialised capabilities to serve the region’s growing data centre risk needs, with a memorandum of understanding due to be signed this week to formalise the facility.

The founding group comprises of MSIG, Gallagher Re, Scor, Samsung Re and the Cybersecurity Association Singapore.

Chee confirmed that the new facility would cover data centre risks across construction, operational, supply chain, design and cyber risks, with initial capacity of US$200 million, which is expected to scale up over time.

“We welcome more insurers, reinsurers, and other partners to contribute capacity and expertise as the facility develops,” Chee said. “And regional project sponsors to access their protection needs through a one-stop insurance hub in Singapore.

“Initiatives of this nature can help Singapore play a larger role in supporting the safe and resilient development of new infrastructure across the region. This is one way in which insurers can serve as architects of resilience.”

The AI and data centre boom is a massive opportunity for the insurance industry in Asia Pacific, but also creates significant risk management challenges, including major concentration risk.

APAC’s data centre capacity is projected to expand from 32 gigawatts to 57 gigawatts by the end of 2030, according to Chee.

“These high-density computing clusters depend on massive grid capacity, specialised liquid cooling ecosystems, and complex supply chains,” Chee added.

“Operators face exposures across construction, property damage, cyber incidents, operational downtime and contractual obligations, with risk profiles evolving as facilities move from build‑out to live operations.”

Chee also announced changes to Singapore’s regulatory capital regime to encourage insurers to allocate more capital to support Asia’s infrastructure development needs, including a SG$30 million (US$23.5 million) grant scheme to support the creation of local infrastructure investment teams in Singapore.

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